DraftKings acquires Railbird, stirring changes in the prediction market, leveraging DCM licenses to penetrate "unregulated states" like California and Texas

DraftKings' acquisition of Railbird has sparked heated discussions in the sports betting field. Railbird has received approval from the CFTC to become a "Designated Contract Market (DCM)," allowing it to operate as a regulated futures exchange. DraftKings plans to launch the "DraftKings Predictions" mobile application, where users can trade event contracts in finance, culture, entertainment, and other areas. The market expects DraftKings to eventually enter the sports sector. Flutter Entertainment's FanDuel has also partnered with CME to launch prediction contracts. Analysts believe that customer acquisition in unregulated states and product development are the main drivers for online sports betting entering the prediction market